Everything You Need to Know about Narcissists, Psychopaths, and Abuse - click on this link: http://www.narcissistic-abuse.com/faq1.html
There are two possible pathological reactions to childhood abuse and trauma: codependence and narcissism. They both involve fantasy as a defense mechanism: the codependent has a pretty realistic assessment of herself, but her view of others is fantastic; the narcissist’s self-image and self-perception are delusional and grandiose, but his penetrating view of others is bloodcurdlingly accurate ("cold empathy").
(From the book "Malignant Self-love: Narcissism Revisited" by Sam Vaknin - Click on this link to purchase the print book, or 16 e-books, or 3 DVDs with 16 hours of video lectures on narcissists, psychopaths, and abuse in relationships: http://www.narcissistic-abuse.com/thebook.html)